Advances in the domestic equities came despite weakness in other Asian markets.
Domestic stock markets rose on Tuesday, supported by gains witnessed across banking and energy stocks. BSE benchmark index Sensex moved up 196 points, or 0.5 per cent, to close at 36,519 while the NSE Nifty settled at 11,008, up 71 points. Top gainers on the 50-scrip Nifty index were Hindustan Petroleum, Indian Oil, Bharat Petroleum, Hindalco Industries and Axis Bank, ending between 3 per cent and 7 per cent higher. Advances in the domestic equities came despite weakness in other Asian markets. However, the upside was limited due to a selloff witnessed in FMCG stocks led by Hindustan Unilever (HUL), which declined 3.6 per cent.
Here are 10 things to know about Tuesday’s trading session:
Thirty nine stocks on the Nifty finished in the positive zone.
Banking stocks jumped, with the Nifty settling 1.2 per cent higher. State Bank of India (SBI), Punjab National Bank and Bank of Baroda settled with gains of around 3-7 per cent.
Reports that the finance ministry is likely to infuse about Rs. 10,000 crore within a few days in some state-owned lenders including PNB, Corporation Bank and Central Bank of India, to help them meet regulatory capital requirement too accelerated the buying pace, news agency Press Trust of India cited brokers as saying.
The Nifty PSU Bank finished the day with a gain of 3.9 per cent.
Oil companies such as Hindustan Petroleum gained on lower oil prices. The Nifty Energy index – comprising oil & gas shares – settled 1.7 per cent higher. BPCL, Reliance Industries and ONGC advanced 1.5-3 per cent. Crude oil prices extended losses on Tuesday after a more than 4 per cent slide to hit a three-month low on Monday. Libyan ports reopened and traders eyed potential supply increases by Russia and other producers, but they recovered to trade up 0.5 per cent.
On the other hand, the Nifty FMCG fell 1 per cent, with HUL leading the losses. Hindustan Unilever had on Monday reported its earnings for the April-June period.
Meanwhile, broader Asian shares fell, with MSCI’s broadest index of Asia-Pacific shares outside Japan trading 0.37 per cent lower.
Foreign portfolio investors (FPIs) sold shares worth a net Rs. 625.68 crore while domestic institutional investors (DIIs) net sold shares worth Rs. 70.30 crore on Monday, provisional data from the NSE showed.